Vipshop (VIPS) stock just delivered a legendary two-year total return of 3,680% and this Chinese online flash sale retailer may just be getting started.
We first mentioned VIPS four months ago at $152 per share, and the stock is now trading at $213, up 40% over that period. Still, investors should always be prepared for a trend reversal when trading growth stocks.
The article below explains that Vipshop has opened its first U.S. office in San Jose to focus on mobile platforms and machine learning. ETF PM has long equity positions in Vipshop (VIPS).
Chinese flash sale company Vipshop launches San Jose R&D Center to boost Big Data
Sarah Drake, 7/28/14
Vipshop Holdings, a Chinese online discount retailer for brand names, has opened its first U.S. research and development center in San Jose to focus on mobile platforms and machine learning.
Led by CEO Eric Chen, Vipshop aims to use advanced analytics on Big Data to tailor retail experiences for buyers. For example, consumers will be able to upload pictures of products to vip.com, which will automatically recognize and suggest the same or similar goods. The technologies out of the R&D center will also customize a person’s landing page based on their browsing habits on the e-commerce website.
Vipshop Holdings Ltd. sells limited amounts of discounted products online, referred to as “flash sales” by consumers in China. It claims 50 million members and 10,000 brands, and posted a 125.9 percent increase in first-quarter net revenue to $701.9 million.
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